Demand forecasting and production planning automation in the furniture industry

About client

Our client was a manufacturer and distributor of interior finishing products, specializing in decorative wall panels, flooring, skirting boards, window sills, and facade cladding.

The company operates large-scale production and manages a diversified product portfolio, which results in high complexity across demand planning, production, and warehouse logistics.

About project

The goal of the project was to improve the efficiency of demand forecasting and automate the process using Artificial Intelligence.

The solution was based on historical sales data and current market trends, including seasonality, to better support production and logistics decision-making.

The 3Soft team developed Machine Learning models for sales forecasting using historical data and up-to-date market trends.

Forecasts are:

• generated on a weekly basis,
• created at the product and market level,
• segmented by sales drivers and individual warehouses.

The implemented system continuously collects and analyzes current data, enabling full automation of the demand forecasting process.

The project delivered measurable business outcomes:

• On-time availability: increase from 70% to 85%,
• Lost sales: reduced by 50%,
• Non-rotating inventory: reduced by 50%,
• Inventory turnover: shortened by 2 weeks,
• Team workload: reduced by 40 – 60%.